Answer:
Debit Insurance Expense, $2,400; credit Prepaid Insurance, $2,400.
Explanation:
The journal entry is given below
Insurance expense A/c Dr $2,400
To Prepaid Insurance $2,400
(Being insurance expense is recorded)
The computation is shown below:
= Insurance premium ÷ number of months × required months
= $4,800 ÷ 4 months × 2 months
= $2,400 months
The 2 months is taken from November 1 to December 31
1. In choosing a financial institution you must consider how frequently the bank responds, how long they operate on the weekends, the notary services they are offering, the loans you can get and their financial strength among others. The most important factor to consider would be the institution's financial strength since you must only put your trust in institutions with high strength.
2. One good thing about the U.S. savings bonds is their security and the fact that the investments that you will make in these bonds will not cost you any form of state or local taxes. Cons would include its complexity though as it can get hard for you to identify when the bonds will mature, their interest rates, when to know how to cash them, and their current value.
3. If you put your trust in the so-called "problematic" financial institutions, you are basically gambling your money away. First of all, as mentioned earlier, you must only put your trust in banks with a healthy financial strength since problematic ones will be unreliable and unsafe. Trusting them can lead to your money being stolen or you can also be bombarded with additional fees.
4. The state and local government have laws that will protect the consumer from unfair practices or frauds. As an individual, you can add more security to protect yourself and your money. This protection includes setting up alerts on your bank account, adding a two-step verification on your emails so no one can access it easily, as well as avoiding calling lists.
5. One major advantage is that the Federal Deposit Insurance Corporation has a $100,000 guarantee per institution so your investment won't be totally gone during unfortunate circumstances. The disadvantage, on the other hand, is that the interest rates on federally-insured accounts are below the inflation rate so you can expect a decrease in the value of your money over time.
Answer:
True
Explanation:
Debt certificate is a written agreement of purchasing a bond from a private company or government, it gives information regarding the maturity date, face value and principal amount. They are normally issued to consumers and business, but investors can also buy bonds or debt certificate by buying the right to loans and mortgages, it allows them to buy debt certificates.
I believe it’s false advertising.
It’s like bait, they get you in the store only to tell you they don’t have the item, then proceed to sell you something much more expensive.
Answer:
The correct answer is same as the profits of a purely competitive firm.
Explanation:
A monopolistic market is characterized by a large number of sellers producing differentiated products which are close substitutes. This market has a relatively easier entry as compared to a monopoly market.
In the long-run when a monopolistic firm will be earning a positive profit. It will attract other firms to join the market. As new firms enter the market, the market supply will increase. A rightward shift in the market supply curve will cause the price level to decline. This will continue till all the profits decline to zero.
So, similar to a purely competitive firm, a monopolistic firm also earn zero economic profit in the long run.
